The Jollibee Group, one of the world's fastest-growing restaurant companies, announced record second-quarter earnings for 2026, signaling a clear margin recovery from earlier cost pressures and underscoring the resilience of its global brand portfolio. Net income attributable to equity holders of the parent company rose 5.7% year on year to Php3.4 billion (approximately US$55 million), marking the highest quarterly net income on record. This performance was driven by improved operating leverage and pricing actions initiated in April, which helped offset elevated commodity and logistics costs.
System-wide sales grew 14.2% year on year, fueled by strong demand across Philippine and international operations. North America emerged as a key growth driver, with Jollibee's system-wide sales up 21.6% and same-store sales up 8.6%. Smashburger also posted 7.0% same-store sales growth, reflecting momentum across the group's North American portfolio. The group's total store network expanded by 6.4% year on year to 10,767 stores across 33 countries, with approximately 70% of gross new openings from franchised stores.
Canada is becoming a focal point for expansion. Jollibee announced plans to add 26 restaurants in British Columbia and Edmonton, complementing its existing 28 locations. If completed, these commitments would nearly double the brand's Canadian network over the next five years, strengthening its North American platform. The group's international business saw system-wide sales surge 25.4%, led by Highlands Coffee, Compose Coffee, and other brands. In the Philippines, system-wide sales grew 5.7%, supported by Mang Inasal and Jollibee.
Sequential recovery was pronounced: consolidated revenues increased 12.2% versus the first quarter, with gross profit up 25.3% and operating income up 56.1%. Net income attributable to equity holders more than doubled. Gross profit margin improved to 18.5% from 16.5% in Q1, and by June, operating income margin had reached 9.1% and net income margin 6.2%. The group absorbed Php239.0 million in transition-related costs tied to store closures and lease terminations, primarily for Yonghe King and Smashburger, as it shifts toward predominantly franchised models.
Jollibee Vietnam continued to outperform, achieving 47.6% system-wide sales growth and 17.9% same-store sales growth, with store payback of less than four years. In China, the franchise ratio for Yonghe King increased to 65%, targeting 70% by year-end. The group maintained its full-year guidance for system-wide sales growth of 8%-12% and store network growth of 5%-10%, while revising same-store sales growth guidance to 3%-4% and gross new store openings to 1,000-1,100. Capital expenditures are now expected to range between Php13.0 billion and Php15.0 billion.
Ernesto Tanmantiong, Global CEO of JFC, attributed the strong results to the group's brand portfolio and consumer trust. He emphasized the focus on serving more customers and creating sustainable long-term value. The group's achievements were recognized through various accolades, including TIME's 100 Most Influential Companies and USA Today's Best Fast Food Fried Chicken. Sustainability efforts also advanced, with the Danao commissary earning LEED Gold certification, the first manufacturing facility in the Philippines to achieve this.
These record results and strategic expansions underscore the Jollibee Group's robust growth trajectory, driven by disciplined execution and a capital-light approach. As the company continues to optimize its portfolio and expand in high-potential markets, it remains well-positioned for sustained success in the global food service industry.
